The richest Caribbean islands offer more than just stunning beaches. They’re a haven for savvy investors and those seeking an idyllic lifestyle. This article delves into what makes the richest Caribbean islands so attractive for investment and relocation, the key factors driving their wealth, and how you can benefit.
- Taxation and local investment opportunities are crucial factors when considering wealthy Caribbean islands.
- Business-friendly frameworks and tax-neutral environments attract foreign investment.
- Some of the richest Caribbean countries offer residency and citizenship by investment (CBI) programs.
Key Factors Determining the Wealth of Caribbean Islands
Several factors contribute to the overall wealth of Caribbean islands, including their economic health, tax laws, business policies, and investment opportunities.
- Economy
For most of the richest Caribbean countries, tourism tops the list, followed by agriculture and manufacturing.
- Tax
Some also offer burgeoning financial sectors and charge low to zero tax on personal income, capital gains, and inheritance. Others offer significant breaks for those investing in real estate or business ventures. The tax strategies vary, so it’s important to consult an expert.
- Business
Favorable labor laws, efficient legal systems, low corporate taxes, and the benefits of directly investing in tourism, sustainable energy, and real estate are incentives for conducting business in the richest Caribbean islands.
- Investment
The richest Caribbean countries also offer a diverse range of investment prospects. Real estate remains desirable, particularly due to the ongoing boom in luxury resorts and private residential developments. Islands like Grenada and St. Lucia further offer appealing citizenship by investment programs.
The Top Richest Caribbean Islands by GDP and Wealth
1. Bermuda
Bermuda comprises 181 picturesque islands – the largest being the main hub of Bermuda. Bermuda stands as one of the most developed island countries globally. It produces the highest GDP per capita in the West Indies, which is why it is largely referred to as the richest Caribbean island. Due to a favorable regulatory environment and a focus on economic recovery and diversity, Bermuda's economy is fuelled by foreign business investment. It features a burgeoning financial services industry, well-known for insurance and reinsurance, which account for around 85% of the island's GDP. Tourism remains the second-largest sector, contributing approximately 5% to its GDP.
Bermuda is highly regarded for its tax-neutral stance. It is one of the richest Caribbean countries exempt from imposing corporate income tax and capital gains tax. It offers a stable and business-friendly environment while promoting direct investment in local tourism and business development. The Bermuda Monetary Authority (BMA) oversees the island's financial services, ensuring international compliance.
In 2021, Bermuda introduced the Economic Investment Certificate (EIC) program as a pathway to permanent residency. Investors must invest a minimum of $2.5 million in one or more of the following:
- Residential or commercial real estate
- Government bonds
- Bermuda Trust Fund or Sinking Fund
- Registered charities
- Investment in existing or new local businesses
2. Cayman Islands
The Cayman Islands is considered one of the largest offshore financial havens and often features near the top of the list as the richest islands in the Caribbean. In the first quarter of 2024, the Cayman Islands experienced a GDP growth of 3.6% compared to 2023. Its economy is driven by financial services and tourism, accounting for approximately 50–60% of its economy.
The Cayman Islands offers investors an attractive tax structure. It does not have corporate tax, making it a haven for foreign corporations to protect their assets from taxation. It also offers a stable and business-friendly environment, underpinned by political stability as a British Overseas Territory. The Cayman Enterprise City (CEC) attracts knowledge-based industries (technology, biotechnology) and offers exemption from corporate, income, and capital gains taxes.
The Cayman Islands provides several pathways for residency through investment.
3. US Virgin Islands
The US Virgin Islands are governed by the USA and boast a GDP per capita of approximately $40,000. Their economy is driven by tourism, trade, and services. It also has a modest manufacturing sector – rum distillation, electronics, and pharmaceuticals.
The US Virgin Islands offers a competitive tax incentive program to attract foreign businesses and investment through the Economic Development Commission (EDC). Key benefits include tax reductions, full exceptions, and reduced customs duties. The legal and financial framework is based on U.S. law, providing familiarity and stability for American investors.
US Virgin Islands does not offer a citizenship by investment program but provides residency options for investors meeting the EDC's requirements.
4. British Virgin Islands
The British Virgin Islands remains a stable British Overseas Territory (BOT) of particular significance in the global offshore financial services industry. Their economy is driven by financial services and tourism. In 2024, the nominal GDP was projected to reach nearly $1.8 billion, marking a 7.4% increase since 2023.
The British Virgin Islands offers an attractive tax regime, characterized by its tax-neutral status. There is zero personal or corporate income tax, no capital gains, inheritance, and estate tax. With low administrative costs and English common law framework, it’s a magnet for foreign business owners.
In January 2025, The British Virgin Islands government announced plans to introduce a Residency by Investment (RBI) program, granting residency without an immediate path to citizenship.
5. The Bahamas
The Bahamas consists of more than 700 picturesque islands offering a high standard of living and a growing economy. With an economy primarily based on tourism and finance, the GDP per capita was forecast to increase between 2024 and 2029 by 13%.
There is no personal income tax, capital gains tax, corporate tax, and inheritance tax. The Bahamas also offers political stability, a healthy English common law system and close proximity to major markets.
Foreigners can get permanent residency through its Economic Permanent Residence (EPR) program and residents may apply for citizenship after 10 years.
6. Anguilla
Anguilla is a self-governing UK Overseas Territory known for its coral reefs, beaches, and tropical forests. Tourism accounts for over 80% of the country’s GDP. In recent years, Anguilla has focused on promoting sustainable development to offset the influx of visitors.
Anguilla offers a tax-friendly regime, including no capital gains, estate, profit, sales, or corporate taxes. The country is highly regarded for its efficient company formation processes, facilitated by the Anguilla Commercial Online Registration Network (ACORN). The government actively encourages foreign investment in tourism, finance, and renewable energy.
Anguilla offers a Residency by Investment (RBI) program providing a pathway to immediate permanent residency. After five years of lawful residency, you can apply for British citizenship.
7. St. Martin / Sint Maarten
There are two territories of Saint-Martin: the French side, Saint-Martin, and the Dutch side, Sint Maarten. This wealthy Caribbean island is located south of Anguilla, and is known for its pristine beaches and robust tourism industry. St Martin’s economy remains resilient despite challenges from natural disasters (Hurricane Irma in 2017). The government encourages investments in real estate and infrastructure.
The French side of St. Martin offers several tax incentives including exemptions from corporate tax if the aggregate amount of taxable income is less than productive investments made. There are also no import duties. The Dutch side offers no enforced property gains tax or inheritance tax.
French St. Martin operates under a legal framework based on French law with an absence of import duties and import tax. The Dutch side offers zero property, capital gains, or inheritance taxes.
The Dutch side also offers an investor permit (RBI scheme) with a path to permanent residency and Dutch citizenship. French St. Martin does not offer a separate residency-by-investment program, but rather, long-stay visas and residency permits for significant economic contributors.
8. St. Kitts and Nevis
St. Kitts and Nevis is a popular tourist destination, well-known for its highly desirable citizenship by investment programs. The dual island nation features a resilient economy driven by tourism, agriculture, and small-scale manufacturing. In 2024, the estimated GDP was $1.13 billion, with a projected growth rate of 4.7%.
St. Kitts and Nevis offers investors a desirable tax regime. There is no personal income tax, capital gains tax, inheritance or estate tax issued. There is a standard corporate tax rate of 35%, however, companies can qualify for reductions.
The twin-island country is underpinned by political stability and a well-established government, with membership in the Caribbean Community (CARICOM) and the Organization of Eastern Caribbean States (OECS).
St. Kitts and Nevis boasts one of the world's longest-standing citizenship by investment programs, with several options available.
Conclusion
The richest Caribbean islands offer desirable financial incentives, tax benefits, and high standards of living. Whether seeking a second citizenship, residency, or business opportunities, islands such as Bermuda, the Cayman Islands, and St. Kitts and Nevis provide stable economies and investor-friendly environments.
Contact Mirabello Consultancy if you want to invest and live an exceptional lifestyle in the richest Caribbean countries.
FAQ
Property prices vary depending on the island and location. In Bermuda and the Cayman Islands, luxury real estate can start at $1 million, while islands like Grenada and Dominica offer government-approved properties for as low as $200,000 under their citizenship by investment programs.
Many of the richest Caribbean islands provide tax advantages, such as no personal income tax, no capital gains tax, and no inheritance tax.
This depends on lifestyle preferences, budget, and healthcare access. The Bahamas, St. Lucia, and Antigua and Barbuda offer a combination of tax benefits, stable economies, and well-developed infrastructure, making them top choices for retirees.
For offshore business and financial services, the Cayman Islands and the British Virgin Islands stand out due to their tax advantages and investor-friendly policies. St. Kitts and Nevis and Grenada are also popular for their citizenship by investment programs.
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